Current trend

The shares of Johnson & Johnson, one of the leading retail holdings, have been trying to decline for the third month. The price reversed at the upper border of the main Murrey trading range at 168.75 (Murrey level [8/8]), crossed it downwards, and tested the lower border at 156.25 (Murrey level [0/8]). Consolidation below will allow it to reach the area of ​​153.12 (Murrey level [–1/8]) and 150.00 (Murrey level [0/8], W1). In case a breakout of 160.94 (Murrey level [3/8]), growth to ​​164.06 (Murrey level [5/8]) and 165.62 (Murrey level [6/8]) may follow.

Technical indicators do not give a single signal: Bollinger Bands are horizontal, and the MACD histogram is increasing in the negative zone. Stochastic is preparing to leave the oversold zone and form a buy signal. In general, price increases soon seem more likely due to the likely victory of Republican candidate Donald Trump in the US presidential election.

Support and resistance

Resistance levels: 160.94, 164.06, 165.62.

Support levels: 156.25, 153.12, 150.00.

Trading tips

Long positions may be opened above 160.94, with the targets at 164.06, 165.62, and stop loss 159.00. Implementation period: 5–7 days.

Short positions may be opened below 156.25, with the targets at 153.12, 150.00, and stop loss 158.50.